I am a licensed insurance professional and variable products agent. I am writing to you in regards to the new disclosure requirements contained in the SEC's proposal regarding the sales of mutual funds and variable annuities. I am 100% in agreement with disclosing the fees and expenses regarding these investment vehicles. Too many times I have seen other agents hand the client the prospectus and say,"here I have to give this to you per the SEC guidelines" and not even cover how the fees or expenses work regarding the proposed variable investment.

I feel that if the fees and expenses were broken out on a separate sheet for the client to examine then they would understand how the investment vehicle works. I also feel it would eliminate about 70-80% of all complaints regarding variable annuities that end up at the insurance commissioner's office annually. It is for these reasons that I strongly support the proposed requirements, for they are indeed in the best interest of the consumer. I would not only disclose them on a separate sheet but would have the client sign the new disclosure sheet acknowledging that they understand the fees and expenses regarding this investment vehicle.
Sincerely,